Report: SpaceX's IPO target valuation exceeds $2 trillion, second only to five companies in the S&P 500.

According to media reports citing sources familiar with the matter, SpaceX has raised its target IPO valuation to over $2 trillion. The world’s highest-valued startup is preparing for what could become the largest IPO in history.

Sources say that this rocket, satellite, and artificial intelligence company founded by Elon Musk, along with its advisors, is conveying this valuation to potential investors and will hold meetings in the coming weeks. These "testing-the-waters" roadshow communications are expected to provide more details supporting the valuation.

If SpaceX’s valuation exceeds $2 trillion, it means the company has increased its valuation by nearly two-thirds within just a few months. Media reports in February stated that, following the acquisition of xAI, the merged entity was valued at about $1.25 trillion.

At that valuation, SpaceX would surpass all but five companies in the S&P 500 — only trailing Nvidia, Apple, Alphabet (Google’s parent company), Microsoft, and Amazon. By this standard, its market capitalization would also exceed Meta and Musk’s Tesla, both of which are part of the "Magnificent 7" of US tech stocks.

Bloomberg reported on Wednesday that SpaceX has secretly submitted its IPO application and could go public as early as June this year. This IPO would be the first among a series of mega offerings, possibly followed by OpenAI and Anthropic, whose chatbots compete with SpaceX subsidiary xAI’s Grok.

Sources say discussions are still ongoing and issuance details may change.

Media analysis states that SpaceX leads in launch services and low-earth orbit communications/broadband, and its merger with xAI plus the proposed IPO will support investments in larger launch vehicles and space data centers. Currently, launch operations and Starlink contribute the majority of company revenue, expected to approach $20 billion by 2026, while xAI revenue may be less than $1 billion. Both launch business and Starlink are industry leaders, maintaining a clear advantage over competitors.

Previous media reports indicated SpaceX’s IPO could raise as much as $75 billion. At that scale, it would far exceed the world’s largest IPO — Saudi Aramco’s $29 billion offering in 2019. SpaceX plans to use the proceeds to realize Musk’s vision, including building AI data centers in space and factories on the Moon.

Musk’s grand plans require unprecedented funding and coordinated resources across his companies. Musk stated in March that his Terafab project — which will produce self-developed chips for robotics, AI, and space data centers — will be jointly pursued by Tesla and SpaceX.

Sources say SpaceX has selected Bank of America, Citibank, Goldman Sachs, JPMorgan Chase, and Morgan Stanley as lead underwriters for the IPO, and has brought in additional banks to the syndicate. SpaceX has scheduled a Monday conference call with the broader syndicate and will hold an analyst briefing later in April.

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